Crypto Whales Are Loading Up — Are You?
New research shows the biggest crypto buyers are back. And this time? They could hold for the possibility that Bitcoin will surpass $100,000 in 2024. You don’t want to miss the next massive crypto bull run like we saw in 2020 and 2021. To know exactly what’s going on and what to buy… Get Access To Benzinga’s Best Crypto Research and Investments For Only $1.
Rosenblatt Securities highlighted increased evidence of competition from Huawei and the implications for Apple Inc. (NASDAQ:AAPL)’s unit sales and sell-through rates in a Wednesday report.
The Analyst
ENTER TO WIN $500 IN STOCK OR CRYPTO
Enter your email and you'll also get Benzinga's ultimate morning update AND a free $30 gift card and more!
Analyst Jun Zhang reiterated a Neutral rating on Apple with a $200 price target.
The Thesis
China’s “11:11 holiday” — or Singles Day — featured several discounts on the iPhone XR, Zhang said in the note. (See his track record here.)
Rosenblatt reseach shows that iPhone XR unit sales reached the level of iPhone Max unit sales after one month and surpassed XS unit sales in China, the analyst said.
“The improvement in iPhone XR sell-through rates is encouraging. Despite this improvement, we continue to believe iPhone XR production may still face some downside risk after the holiday season, as we believe current iPhone XR production is still above sell-through rates.”
Despite encouraging rates, Apple faces immediate competition from Huawei, Zhang said. “Huawei’s Mate 20 has sold very well in China, while its Mate 20 Pro has sold out. We believe Mate 20 Pro sales have grown 20-25-percent year-over-year compared to Mate 10 sales, even with panel quality issues from LG Display impacting its shipment schedule.”
FREE REPORT: How To Learn Options Trading Fast
In this special report, you will learn the four best strategies for trading options, how to stay safe as a complete beginner, a 411% trade case study, PLUS how to access two new potential winning options trades starting today.Claim Your Free Report Here.
Over the past two years, many high-end customers have transitioned from both Samsung Electronics Co. (OTC:SSNLF) and Apple to Huawei smartphones, Zhang said.
Huawei's smartphone growth is a positive for Lumentum Holdings Inc (NASDAQ:LITE), Viavi Solutions Inc (NASDAQ:VIAV) and Sony Corp (NYSE:SNE), Zhang said.
"Because Huawei’s Mate 20 CMOS content dollars are much higher than the iPhone Max, we believe this could offset weakness at Apple for Sony.”
The Price Action
Apple shares were up 0.55 percent at $177.95 at the time of publication Wednesday.
Related Links:
Apple's Volatile Ride Continues Amid Reports Of Production Cuts For New iPhone Models
Bank Of America: Apple Installed Base Holds 'Large Room' For Upside
Photo courtesy of Huawei.
Crypto Whales Are Loading Up — Are You?
New research shows the biggest crypto buyers are back. And this time? They could hold for the possibility that Bitcoin will surpass $100,000 in 2024. You don’t want to miss the next massive crypto bull run like we saw in 2020 and 2021. To know exactly what’s going on and what to buy… Get Access To Benzinga’s Best Crypto Research and Investments For Only $1.